Office Space: Plan to get old? Start planning now

Aging is a natural human event, and comes with challenges, not the least of which is managing your affairs and health limitations.

Written by By Paul Marrella

Where does all the time go? Doesn't it seem like high school graduation was only a few months ago?

If you agree, you are probably someone who is thinking about retirement and beyond. Aging is a natural human event, and comes with challenges, not the least of which is managing your affairs and health limitations.

Most Americans don't like to think about "old age" issues such as these, so the result is procrastination. Do yourself a favor and start thinking about what happens to you when you get old. It will be a tough but valuable experience.

Try to understand the basics, and the questions to ask. Then you can find help with the details.

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Proper planning takes time. If it were that easy, everyone would do it, and no one would write articles about it.

About the 'person' and the 'money'

As you age, you face physical and mental limitations. You need to properly manage both your "person" and your "money."

The personal aspect involves making sure that you are safe, and in an environment where you can thrive. This may be your home, but might also be a retirement community or assisted-living facility. More often than you might imagine, adults resist leaving their home for such facilities.

You might be surprised just how often adult children want their parents to leave home in favor of an adult community. Many times, parents reluctantly leave home, only to find that after a few weeks they realized they should have done so years before.

Finances bring their own difficulties. Eldercare fraud is on the rise, and there are very few signs of that changing anytime soon. Those who do not properly plan, or don't have agents in place to watch over their finances, are the most vulnerable.

Find someone you trust

Managing wealth is tough enough when you are well. But what happens when you get old?

There are numerous options, but all of them involve having someone to look after your wealth. That may be a trusted child or very close friend through power of attorney, or even as your trustee. In any case, you will need to identify this person.

The more organized you can be, and the more information your financial caretakers have, the easier this transition will likely be. Many people create "financial organizers," which contain information about all their financial accounts, professional and medical advisers, including contact information. Once it is created, updating it periodically is far less of an issue.

Think about something as simple as your passwords. How much easier is your confidant's job if they have lists of the information? The same is true for your other financial information. The more you can provide in a consolidated way, the better everyone's lives will be when you need help.

Questions to answer

Imagine if suddenly you are incapacitated. Who will pay your bills? Where can they find all your personal information?

If you don't have an answer, you'll need to keep documents. Make sure documents are kept in a safe place, and back them up. Giving copies to your financial person is also a good idea.

As morbid as this may sound, the day will come for all of us. Do yourself and your family a favor and get organized.

Paul Marrella is a wealth manager at Marrella Financial Group LLC, Spring Township. He is a noted public speaker and author of "What Now? The Widow's Guide to Financial Independence."